Organizational Change 2

Steven E. Phelan, July, 2010

Controlling Approaches to

Change

Change Management Approach

• Focuses on strategic, intentional and usually large-scale change

• Entails following a variety of steps; the exact steps vary depending upon the model used

• Belief that achieving organizational change is possible through a coordinated and planned approach

Some Systems

• Ten Steps• Define the vision• Mobilize• Catalyze• Steer• Deliver• Obtain

participation• Handle emotions• Handle power• Train and coach• Actively

communicate

• 12 Actions• Get support of key power groups• Get leaders to model change behavior• Use symbols and language• Define areas of stability• Surface dissatisfaction• Promote participation• Reward behavior that supports change• Disengage from the old• Communicate image of future• Use multiple leverage points• Develop transition mgt arrangements• Create feedback

Some More Systems

• 10 Commandments• Analyze the need for change• Create a shared vision• Separate from the past• Create a sense of urgency• Support a strong leader role• Line up political sponsorship• Craft an implementation plan• Develop enabling structures• Communicate and involve

people• Reinforce and institutionalize

change

• Eight-step model (Kotter)• Establish the need for

urgency• Ensure there is a power

change group to guide the change

• Develop a vision• Communicate the vision• Empower staff• Ensure there are short

term wins• Consolidate gains• Embed the change in the

culture

Exercise

• Compare and contrast the various steps in these models. What is left out of different models?

• Create your own composite model. • Is there a preferred sequence of steps? Why?

• Identify the key management skills associated with each step• Which ones are you strongest on? Weakest on?

• In your experience:• Which steps have been best handled?• Worst handled? Why?

Processual Approach

• Views change as a continuous process which unfolds differently depending upon the time and the context• It sees the outcome of change as occurring through a

complex interplay of different interest groups, goals, and politics. Only some outcomes will be able to be achieved given the “messiness” of change

• This approach does not provide a list of “what to do” steps as in the change management approaches. • Rather it alerts the change manager to the range of influences

which they will confront and the way in which these will lead to only certain change outcomes being achieved

Rules of thumb for change agentsShepard (1975)

• Stay alive• Learn to greet absurdity with laughter• Use your skills, emotions, labels, and positions don’t be used by

them• Don’t get trapped in other people’s games

• Start where the system is• Understand how others see themselves (empathy)

• Never work uphill• Work in the most promising arenas • Don’t build hills as you go • Build resources• Don’t over organize• Don’t argue if you can’t win • Don’t drift – remain focused on your purpose

More rules of thumb

• Light many fires • Load experiments for success

• Innovation requires a good idea, initiative, and a few friends• Find the people who are ready and able to work,

introduce them to one another, and work with them• Those who need to rebel or submit are not reliable

partners

• Keep an optimistic bias• Capture the moment

• timing is everything

Quinn’s logical incrementalism

• Key propositions• Proceed experimentally and flexibly• Conceal true goals and intentions• Build awareness and credibility to legitimize new

viewpoints• Tactical shifts, partial solutions

• Use serendipity to promote supporters, replace opponents, fund pet projects

• Broaden political support and overcome opposition• Encourage others to trial new ideas and create

pockets of commitment (but don’t be associated with failure).

• Why is this a processual view of change?

Shaping Approaches to

Change

Organization Development

• Values• Humanistic

• Openness, honesty, integrity

• Democratic• Social justice, freedom of choice, involvement

• Developmental• Authenticity, growth, self-realization

History of OD

• T-groups (Lewin, 1946)• Training groups – a form of group therapy

• Socio-technical systems• Tavistock Institute• Focus on social teams and industrial democracy

• Surveys with Likert scales from 1946• Often used for diagnosis of organizational climate

and post-intervention

• Participative Action research• A Plan-Do-Check-Act cycle that involves those who

are affected by the changes

Role of OD practitioner

• Steps• Problem identification• Consultation/collaboration with OD

consultant• Data gathering and problem diagnosis• Feedback• Joint problem diagnosis (with group)• Joint action planning (with group)• Change actions• Further data gathering

Change Management vs. OD

• Critics of change management depict it as being “faddish” and the product of management consultancy firms

• There is a debate between proponents of OD and proponents of change management:• OD is criticized for being less relevant to modern

organizations which require strategic, often large scale change rather than slower, incremental change often associated with a traditional OD

• Change management is criticized for lacking a humanistic set of values and for having a focus on the concerns of management rather than on those of the organization as a whole

Second generation OD

• Focus on transformational change, culture, and learning organizations• Argyris undiscussables, double loop learning, and

triple loop learning• Senge’s system dynamics for learning

• New interest in teams• High performance work organizations• Self managed teams

• TQM• Visioning, diversity, large meetings• Large-scale OD

New Problems for OD• Loss of community

• People pretend to care more about one another than they really do

• Loss of employer-employee social contract• I must take care of myself

• Employability• Is my employer giving me the skills to find another job if I have to?

• Trust• Widening gap between have and have nots• Difference between what managers say and do• Lack of openness

• Culture Clash• Need for negotiation and conflict resolution skills

Appreciative Inquiry

• Participation by large-scale intervention • Shows a shift from problem solving to

joint envisioning of the future• Involves a four-step technique:

• Discovering current best practices• Building on existing knowledge• Designing changes• Sustaining the organization’s future

AI Exercise

• Goal: Quality executive education• Step 1: Describe your peak experience in quality

education• Step 2: Generate some ‘provocative propositions’

for the UNLV EMBA program based on step 1.• Step 3: Describe times when the UNLV program

approached peak experience• Step 3: Develop a vision of what could be• Step 4: What needs to change in skills, structure,

processes and systems, management style, and staffing to enhance this vision

Roleplay Assignments

Northern

• CEO - Gerry• CIO - Kanani• HR - Michael• VP-Retail – Erin• Branch Mgr – Akash• Admin Asst - Drew

Southern

• CEO - Cindy• CIO - Jody• HR - Jonathan• VP-Retail - Chad• Branch Mgr – Eric• Admin Asst - Lane

Assignments

• Stakeholders– State Governor – Professor Phelan– State Regulator – Jim– Union Organizer – Jenny– Journalist – Tony– Largest Customer (South) – Darwin – Largest Shareholder (North) - Brad – East/West Bank – Kyle